DB:EP6

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El Pollo Loco Holdings

Executive Summary

El Pollo Loco Holdings, Inc., through its subsidiary El Pollo Loco, Inc., develops, franchises, licenses, and operates quick-service restaurants under the El Pollo Loco name. More Details


Snowflake Analysis

Adequate balance sheet with limited growth.


Similar Companies

Share Price & News

How has El Pollo Loco Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: EP6 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-4.6%

EP6

7.1%

DE Hospitality

-1.9%

DE Market


1 Year Return

35.2%

EP6

-52.3%

DE Hospitality

0.1%

DE Market

Return vs Industry: EP6 exceeded the German Hospitality industry which returned -52.3% over the past year.

Return vs Market: EP6 exceeded the German Market which returned 0.1% over the past year.


Shareholder returns

EP6IndustryMarket
7 Day-4.6%7.1%-1.9%
30 Day8.1%10.7%0.4%
90 Day9.0%-1.7%-0.5%
1 Year35.2%35.2%-50.2%-52.3%3.3%0.1%
3 Year46.4%46.4%-58.5%-64.2%-0.2%-9.0%
5 Year43.3%43.3%-56.1%-65.3%21.4%4.0%

Price Volatility Vs. Market

How volatile is El Pollo Loco Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is El Pollo Loco Holdings undervalued compared to its fair value and its price relative to the market?

31.95x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: EP6 (€14.6) is trading above our estimate of fair value (€6.69)

Significantly Below Fair Value: EP6 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: EP6 is poor value based on its PE Ratio (31.9x) compared to the DE Hospitality industry average (22.9x).

PE vs Market: EP6 is poor value based on its PE Ratio (31.9x) compared to the German market (22.3x).


Price to Earnings Growth Ratio

PEG Ratio: EP6 is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: EP6 is overvalued based on its PB Ratio (2.4x) compared to the DE Hospitality industry average (1.6x).


Next Steps

Future Growth

How is El Pollo Loco Holdings forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

23.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EP6's forecast earnings growth (23.6% per year) is above the savings rate (0.2%).

Earnings vs Market: EP6's earnings (23.6% per year) are forecast to grow slower than the German market (26.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: EP6's revenue (4.7% per year) is forecast to grow slower than the German market (6% per year).

High Growth Revenue: EP6's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if EP6's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has El Pollo Loco Holdings performed over the past 5 years?

-26.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EP6 has a large one-off loss of $10.2M impacting its June 24 2020 financial results.

Growing Profit Margin: EP6 became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: EP6's earnings have declined by 26.4% per year over the past 5 years.

Accelerating Growth: EP6 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: EP6 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Hospitality industry (-7%).


Return on Equity

High ROE: EP6's Return on Equity (7.4%) is considered low.


Next Steps

Financial Health

How is El Pollo Loco Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: EP6's short term assets ($81.1M) exceed its short term liabilities ($67.0M).

Long Term Liabilities: EP6's short term assets ($81.1M) do not cover its long term liabilities ($342.0M).


Debt to Equity History and Analysis

Debt Level: EP6's debt to equity ratio (54.1%) is considered high.

Reducing Debt: EP6's debt to equity ratio has reduced from 59.5% to 54.1% over the past 5 years.

Debt Coverage: EP6's debt is well covered by operating cash flow (24.8%).

Interest Coverage: EP6's interest payments on its debt are well covered by EBIT (10.4x coverage).


Balance Sheet


Next Steps

Dividend

What is El Pollo Loco Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate EP6's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate EP6's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if EP6's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if EP6's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of EP6's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.2yrs

Average management tenure


CEO

Bernard Acoca (51 yo)

2.58yrs

Tenure

US$1,936,501

Compensation

Mr. Bernard Acoca has been President, Chief Executive Officer and Director of El Pollo Loco Holdings, Inc. since March 12, 2018. Mr. Acoca serves as President and Chief Executive Officer of El Pollo Loco, ...


CEO Compensation Analysis

Compensation vs Market: Bernard's total compensation ($USD1.94M) is above average for companies of similar size in the German market ($USD1.31M).

Compensation vs Earnings: Insufficient data to compare Bernard's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Bernard Acoca
President2.58yrsUS$1.94m0.49%
$ 2.6m
Laurance Roberts
CFO & Treasurer7.25yrsUS$1.03m0.26%
$ 1.4m
Miguel Lozano
Chief Operating Officer1.5yrsUS$744.88k0.22%
$ 1.2m
Douglas Soller
Vice President of Accounting & Financeno datano datano data
Jason Weintraub
Senior VP1.17yrsno datano data
Jennifer Jaffe
Chief People Officer & Senior VP2.17yrsno datano data
Brian Carmichall
Chief Development Officerno datano datano data

2.2yrs

Average Tenure

56yo

Average Age

Experienced Management: EP6's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Bernard Acoca
President2.58yrsUS$1.94m0.49%
$ 2.6m
John Roth
Independent Director13.75yrsUS$125.01k0.050%
$ 262.9k
Dean Kehler
Director14.92yrsUS$120.01k0.043%
$ 224.9k
William Floyd
Independent Director4.5yrsUS$183.01k0.064%
$ 334.7k
Mark Buller
Independent Director5.33yrsUS$132.51k0.070%
$ 370.4k
Michael Maselli
Chairman9.75yrsUS$120.01k0.050%
$ 265.9k
Samuel Borgese
Independent Director9.75yrsUS$130.01k0.063%
$ 331.3k
Douglas Babb
Independent Director2.75yrsUS$173.01k0.043%
$ 224.9k
Carol Lynton
Independent Director4.5yrsUS$173.01k0.064%
$ 334.7k

5.3yrs

Average Tenure

61yo

Average Age

Experienced Board: EP6's board of directors are considered experienced (5.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

El Pollo Loco Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: El Pollo Loco Holdings, Inc.
  • Ticker: EP6
  • Exchange: DB
  • Founded: 1980
  • Industry: Restaurants
  • Sector: Consumer Services
  • Market Cap: US$623.608m
  • Listing Market Cap: US$526.824m
  • Shares outstanding: 35.92m
  • Website: https://www.elpolloloco.com

Number of Employees


Location

  • El Pollo Loco Holdings, Inc.
  • 3535 Harbor Boulevard
  • Suite 100
  • Costa Mesa
  • California
  • 92626
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LOCONasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDJul 2014
EP6DB (Deutsche Boerse AG)YesCommon StockDEEURJul 2014

Biography

El Pollo Loco Holdings, Inc., through its subsidiary El Pollo Loco, Inc., develops, franchises, licenses, and operates quick-service restaurants under the El Pollo Loco name. The company offers fire-grilli ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/23 21:51
End of Day Share Price2020/10/23 00:00
Earnings2020/06/24
Annual Earnings2019/12/25


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.